Form 4: SelectQuote CFO Clement Ryan Moore Awarded Restricted Stock Units

SelectQuote's Chief Financial Officer, Clement Ryan Moore, received grants of restricted stock units and price-vested restricted stock units on October 28, 2024, under the company's 2020 Omnibus Incentive Plan.

Summary

• On October 28, 2024, Clement Ryan Moore, the Chief Financial Officer of SelectQuote, Inc., was granted 191,693 restricted stock units (RSUs) and 191,693 price-vested restricted stock units (PVUs) under the company's 2020 Omnibus Incentive Plan.
• The RSUs vest ratably in three annual installments starting August 1, 2025, contingent upon continued employment.
• Each RSU represents the right to receive one share of SelectQuote's common stock.
• The PVUs also vest ratably in three annual installments commencing August 1, 2025, subject to continued employment.
• Vesting of the PVUs is contingent on SelectQuote's common stock achieving 60-day average closing prices exceeding $3.13, $6.00, and $9.00 during a five-year performance period.

Sentiment

Score: 7

Explanation: The sentiment is neutral to slightly positive. The grant of equity compensation is a standard practice and suggests confidence in the executive's ability to contribute to the company's success. The performance-based vesting adds a layer of positive incentive.

Positives

• The grant of RSUs and PVUs aligns the CFO's interests with those of the shareholders, incentivizing him to improve the company's performance and stock price.
• The vesting schedule encourages long-term commitment from the CFO.

Risks

• The vesting of PVUs is contingent on the company's stock price reaching certain levels, which may not be achieved.
• If the CFO leaves the company before the vesting dates, the unvested RSUs and PVUs will be forfeited.

Future Outlook

The document does not contain specific forward-looking statements beyond the vesting schedules of the equity grants.

Industry Context

Equity compensation is a common practice in publicly traded companies to incentivize executives and align their interests with those of shareholders. The specific terms of the grants, such as vesting schedules and performance conditions, are tailored to the company's specific circumstances and goals.

Comparison to Industry Standards

• Equity grants to CFOs are standard practice across publicly listed companies.
• Companies like eHealth and GoHealth, which operate in similar sectors, also utilize restricted stock units and performance-based equity awards as part of their executive compensation packages.
• The vesting schedules and performance metrics (in the case of PVUs) are generally aligned with industry norms, aiming to incentivize long-term value creation.

Stakeholder Impact

• Shareholders may view the equity grants positively as they align management's interests with increasing shareholder value.
• Employees may see the grants as a sign of the company's commitment to its leadership team.

Key Dates